1. SUMMER TRAINING PROJECT
ON
A STUDY ON PRODUCTS OF
H.D.F.C LIFE
Submitted in partial fulfillment of the requirement
For the award of
MASTERS DEGREE IN BUSINESS ADMINISTRATION
(Session 2012-2014)
Under Supervision of: Submitted By:
MR Yoginder Kataria ANKITA GARG
(Associate Professor) ROLL NO:12209
PANIPAT INSTITUTE OF ENGINEERING & TECHNOLOGY
KURUKSHETRA UNIVERSITY, KURUKSHETRA

2. DECLARATION
I, Ankita student of MBA IIIrd Semester, studying at Panipat Institute of
Engineering & Technology Samalkha hereby declare that the summer training report
on “A Study On Products Of HDFC LIFE” submitted to Kurukshetra
University, Kurukshetra in partial fulfillment of Degree of Master’s of Business
Administration is the original work conducted by me.
The information and data given in the report is authentic to the best of my knowledge.
This summer training report is not being submitted to any other University for award
of any other Degree, Diploma and Fellowship
ANKITA GARG
12209

3. ACKNOWLEDGEMENT
It is my pleasure to be indebted to various people, who directly o r i n d i r e c t l y
c o n t r i b u t e d i n t h e d e v e l o p m e n t o f t h i s w o r k a n d w h o influenced
my thinking, behavior, and acts during the course of study. .
I am thankful to Mr. Manjeet Sharma (ASM HDFC Life) for his support, cooperation, and
motivation provided to me during the training for constant inspiration, presence and
blessings.
I also extend my sincere appreciation to Mr. Vikram Sir w h o p r o v i d e d h e r v a l u a b l e
s u g g e s t i o n s a n d p r e c i o u s t i m e i n accomplishing my project report.
Lastly, I would like to thank the almighty and my parents and my teacher Mr Yoginder Kataria
for their moral support and my friends with whom I shared my day-to-day
experience and received lots of suggestions that improved my quality of work.
ANKITA GARG
12209

4. TABLE OF CONTENTS
SERIAL
NUMBER
INDEX OF CONTENTS PAGE
NUMBER
1 Chapter-1 Introduction
1.1 Introduction to industry
1.2 Introduction to company
1.3 Introduction to topic
1-10
11-21
22-27
2 Chapter-2 Literature review 28-31
3 Chapter-3 Research methodology 32-34
4 Chapter-4 Data analysis and
interpretation
35-51
5 Chapter-5 Suggestion
Conclusions
52
53
6 Chapter-6 References
Websites
Books
Appendix
54
55-57
58-61

5. LIST OF TABLES
Table No. Contents Page No.
1 Age group of surveyed respondents 35
2 Gender classification of surveyed respondents 36
3 Customer profile 38
4 No of policy purchased by customer 39
5 Annual premium paid by individual for life insurance 41
6 Popular life insurance plans of HDFC LIFE 42
7 Awareness of unit linked plan 43
8 Consumer willingness to spend on life insurance premium 44
9 Ideal policy term 46
10 Factor that motivate respondents to purchase insurance
policy
48
11 Preferred company type of the respondents 49
12 Minimum expected return investnment 50

6. LIST OF FIGURES
Table No. Contents Page No.
1 Age group of surveyed respondents 36
2 Gender classification of surveyed respondents 37
3 Customer profile 38
4 No of policy purchased by customer 40
5 Annual premium paid by individual for life insurance 41
6 Popular life insurance plans of HDFC LIFE 42
7 Awareness of unit linked plan 43
8 Consumer willingness to spend on life insurance premium 45
9 Ideal policy term 46
10 Factor that motivate respondents to purchase insurance
policy
48
11 Preferred company type of the respondents 49
12 Minimum expected return investnment 50

7. EXECUTIVE SUMMARY
HDFC Standard Life is the most trusted life insurance company in the India. Standard Life is the
largest insurer in the UK and is the 7th
largest company in the world. In India, the company is
marketing life insurance products and unit linked investment plans. From my research at HDFC-
life, I found that the company has a lot of competition from other private insurers like ICICI
Prudential, Aviva, Birla Sun Life and Tata AIG. It also faces competition from LIC. To compete
effectively HDFC-SL could launch cheaper and more reasonable products with small premiums
and short policy terms (the number of year’s premium is to be paid). The ideal premium would
be between Rs. 5000 – Rs. and an ideal policy term would be 10 – 20 years.
HDFC-life must advertise regularly and create brand value for its products and services. Most of
its competitors like ICICI, Reliance and LIC use television advertisements to promote their
products. The Indian consumer has a false perception about insurance – they feel that it would
not benefit them if they do not live through the policy term. Nowadays however, most policies
are unit linked plans where a customer is benefited.
The insurance market in India as it has around the globe. even if their death does not occur
during the policy term. This message should be conveyed to potential customers so that they
readily invest in insurance. Family responsibilities and high returns are the two main reasons,
people invest in insurance. Optimum returns of 16 – 20 % must be provided to consumers to
keep them interested in purchasing insurance.
On the whole HDFC-SL is a good place to work at. Every new recruit is provided with extensive
training on unit linked funds, financial instruments and the products of HDFC Standard Life.
This training enables an advisor/ sales manager to market the policies better. HDFC-SL was
ranked 5 in the Best Places to Work survey. The company should try to create awareness about
itself in India. In the global market it is already very popular. With an improvement in the sales
techniques used, a fair bit of advertising and modifications to the existing product portfolio,
HDFC-SL would be all set to capture

9. INDUSTRY PROFILE

10. THE INSURANCE INDUSTRY IN INDIA
AN OVERVIEW
With the largest number of life insurance policies in force in the world, Insurance happens to be
a mega opportunity in India. It’s a business growing at the rate of 15-20 per cent annually and
presently is of the order of Rs 450 billion (for the financial year 2004 – 2005). Together with
banking services, it adds about 7% to the country’s Gross Domestic Product (GDP). The gross
premium collection is nearly 2% of GDP and funds available with LIC for investments are 8% of
the GDP.
Even so nearly 80% of the Indian population is without life insurance cover while health
insurance and non-life insurance continues to be below international standards. A large part of
our population is also subject to weak social security and pension systems with hardly any old
age income security. This in itself is an indicator that growth potential for the insurance sector in
India is immense.
A well-developed and evolved insurance sector is needed for economic development as it
provides long term funds for infrastructure development and strengthens the risk taking ability of
individuals. It is estimated that over the next ten years India would require investments of the
order of one trillion US dollars. The Insurance sector, to some extent, can enable investments in
infrastructure development to sustain the economic growth of the country.

11. PRESENT SCENARIO - LIFE INSURANCE INDUSTRY IN INDIA
The life insurance industry in India grew by an impressive 36%, with premium income from new
businesses at Rs. 253.43 billion during the fiscal year 2005-2006. Though the total volume of
LIC's business increased in the last fiscal year (2005-2006) compared to the previous one, its
market share came down from 87.04 to 78.07%.
The 14 private insurers increased their market share from about 13% to about 22% in a year's
time. The figures for the first two months of the fiscal year 2006-07 also speak of the growing
share of the private insurers. The share of LIC for this period has further come down to 75
percent, while the private players have grabbed over 24 percent.
With the opening up of the insurance industry in India many foreign players have entered the
market. The restriction on these companies is that they are not allowed to have more than a 26%
stake in a company’s ownership.
Since the opening up of the insurance sector in 1999, foreign investments of Rs. 8.7 billion have
poured into the Indian market and 14 private life insurance companies have been granted
licenses. Innovative products, smart marketing, and aggressive distribution have enabled
fledgling private insurance companies to sign up Indian customers faster than anyone expected.
Indians, who had always seen life insurance as a tax saving device, are now suddenly turning to
the private sector and snapping up the new innovative products on offer. Some of these products
include investment plans with insurance and good returns (unit linked plans), multi – purpose
insurance plans, pension plans, child plans and money back plans.

12. COMPANY PROFILE

13. HDFC LIFE INSURANCE LTD.
The partnership:
HDFC is an organization that strives for excellence, with the twin objective of enhancing
customer satisfaction and shareholder value.
The standard life assurance company was present in the Indian life insurance market from 1847
to 1938 when agencies were setup in kolkata and Mumbai.
Each of the JV player is highly rated and been conferred with many awards .HDFC is rated
‘AAA’ by both CRISIL and ICRA. Similarly, standard life is rated ‘AAA’ both by moody’s and
standard and poor’s. This reflects the efficiency with which HDFC and standard life manage
their asset base of Rs15000 Cr and Rs600000 Cr respectively.
HISTORY OF EVENTS
1 JANUARY 1995:
HDFC life first came together for a possible joint venture, to enter the life insurance market. At
the outset it was clear that both co. shared similar values and beliefs and a strong relationship
quickly formed.
2 OCTOBER 1995:
The companies signed a three year joint venture agreement around this time Standard life
purchased a 5% stake in HDFC, further strengthening the relationship.
3 OCTOBER 1998:
The joint venture agreement was renewed and additional resource made available, around
this time standard Life purchased 3% of Infrastructure Development Finance company
Ltd (IDFC) Standard life also started to use the services of the HDFC Treasury
department to advise them upon their investments in India.

14. 4 JANUARY 2000:
An expert team form the UK joined a handpicked team from HDFC to form the core project
team, based in Mumbai. Around this time Standard Life purchased a further 5% stake in
HDFC and a 5% Stake in HDFC bank. In a further development Standard Life agreed to
participate in the Asset Management Company promoted by HDFC to enter the mutual fund
market.
5 14th AUGUST 2000:
The company was incorporated under the name :HDFC STANDARD LIFE INSURACE
COMPANY LIMITED: their ambition from as far back as October 1995 was to be the first
private company to re-enter the life insurance market in India.
6 23rd
OCTOBER 2000:
HDFC Standard Life became the” First life insurance company in the private sector: TO be
granted a certificate to Registration by the Insurance Regulatory and Development Authority
to transact life insurance business in India.
HDFC are the main shareholders in HDFC Life, with81.4%, while standard life owns 18.6%.
HDFC Life has a long and close relationship built upon shared valued and trust. The ambitions
of HDFC life is to mirror the success of the parent companies and be the yardstick by which all
other insurance companies in India are measured. HDFC Life Insurance Company has been
signed on by Blue Star to provide insurance cover to its 1805 employees across India and
overseas.
HDFC life Insurance is on of the leading players in the group insurance segment of the life
insurance business. Its group business has grown significantly since inception and now covers
over 25,000 lives across the entire industry spectrum including software, FMCG, Pharmaceutical

15. banking consultancy, BPO retailing and consumer electronics.
MANAGEMENT TEAM OF THE H.D.F.C
MANAGEMENT TEAM
MR.AMITABH CHAUDHARY MANAGING DIRECTOR AND
CHIEF EXECUTIVE OFFICER
MS VIBHA PADALKAR EXECUTIVE DIRECTOR AND
CHIEF FINANCIAL OFFICER
MR.SRINIVASAM PARTHASARATHY CHIEF ACTUARY AND
APPOINTED ACTUARY
Mr. Prasun Gajri Chief Investment Officer
Mr. Rajendra Ghag Senior Executive Vice President &
Chief Human Resource Officer
Mr. Anup Rau Senior Executive Vice President
Mr. Sanjay Tripathy Executive Vice President
Mr. Subrat Mohanty Executive Vice President
Mr. Sanjeev Kapur Executive Vice President
Brief Profile of The Management Team

16. Mr. Amitabh Chaudhry
Managing Director and Chief Executive Officer
Mr. Amitabh Chaudhry is the Managing Director and Chief Executive Officer
of HDFC Life.
Before joining HDFC Life in January 2010, he was the Managing Director and
CEO of Infosys BPO and was also heading an Independent Validation
Services unit in Infosys Technologies.
Mr. Chaudhry completed his Engineering in 1985 from Birla Institute of
Technology and Science, Pilani and MBA in 1987 from IIM, Ahmedabad.
Ms. Vibha Padalkar
Executive Director and Chief Financial Officer
Ms. Vibha Padalkar is the Executive Director and Chief Financial Officer at
HDFC Life.
Ms. Padalkar joined HDFC Life in August 2008 after a seven year stint as
Executive Vice President-Finance at WNS Global Services; a NYSE listed
leading global business process outsourcing company. Vibha's key
achievement during her tenure at WNS was to lead a team that successfully
completed the Group's IPO on the New York Stock Exchange in a short span
of six months. Prior to WNS, Vibha was with Colgate Palmolive India,
including a short posting to the group's New York headquarters.

17. Mr. Srinivasan Parthasarathy
Chief Actuary and Appointed Actuary
Mr. Srinivasan Parthasarathy is the Chief Actuary and Appointed Actuary of
HDFC Life. s
Mr. Parthasarathy joined HDFC Life in 2011 from Canara HSBC Life
Insurance with 18 years of experience in Life Insurance and Pensions in both
India and the UK
.
Mr. Prasun Gajri
Chief Investment Officer
Mr. Prasun Gajri is the Chief Investment Officer of HDFC Life.
He holds a PGDM from IIM Ahmedabad and is also a CFA Charterholder.
Mr. Rajendra Ghag
Senior Executive Vice President & Chief Human Resource Officer
Mr. Rajendra Ghag is the Senior Executive Vice President & Chief Human
Resource Officer at HDFC Life.
Mr. Ghag joined HDFC Life in September 2009 and has been spearheading
the Human Resource function since then. Before HDFC Life, he was
associated with DHL Express as Head of HR for India and Senior Advisor -
Quality and Processes (First Choice Programme) for South Asia.
He holds a Masters Degree in Personnel Management apart from his degree in
Commerce and Law.

18. Mr. Anup Rau
Senior Executive Vice President
Mr. Anup Rau is the Senior Executive Vice President of HDFC Life.
He is a Post Graduate in Management from University of Mumbai (1998) and
a Graduate in Economics from University of Delhi (1995).
Mr. Sanjay Tripathy
Executive Vice President
Mr. Sanjay Tripathy is the Executive Vice President responsible for
Marketing, Product and Direct Channels at HDFC Life.
Mr. Tripathy joined HDFC Life in 2004 and has been responsible for Direct
Sales Channels, Marketing Strategy, Brand Planning, Advertising,
Communication & Media, Customer Insights, New Product Development,
Product Life Cycle Management, Online and Digital Strategy, E-Commerce,
Customer Analytics, & Corporate communication. He started his career with
GCMMF Ltd. in 1992..
He holds a Management degree from IRMA and he is also a member of the
Technical Committee of Indian Readership Survey (IRS) at Media Research
Users Council (MRUC)

19. Mr. Subrat Mohanty
Executive Vice President
Mr. Subrat Mohanty is the Executive Vice President responsible for Strategy,
Customer Relations, Persistency and Technology at HDFC Life.
Mr. Mohanty joined HDFC Life in 2010 and has led the strategic themes and
transformation initiatives of the organization during a fast changing industry
environment.
.
He holds a bachelor's degree in Mechanical Engineering from NIT Rourkela
and an MBA from Indian Institute of Management, Calcutta.
Mr. Sanjeev Kapur
Executive Vice President
Mr. Sanjeev Kapur is the is the Executive Vice President of HDFC Life.
At HDFC Life, Mr. Kapur heads the Institutional Sales and HNI Sales
functions. He has been associated with HDFC Life since inception
Mr. Kapur is A.C.A from Institute of Chartered Accountants

20. COMPETITIOR PROFILE

21. COMPETITOR NAME : COMPETITOR SHARE
COMPETITOR NAME COMPETITOR SHARE
TATA AIG
3%
MET LIFE
3%
AVIVA
3%
BHARTI AXA LIFE
16%
ICICI
29%
HDFC LIFE 9%
BAJAJ
20%
BIRLA SUN LIFE
5%
SBI LIFE
12%

24. REGULATORY BODY
IRDA
IRDA
Insurance Regulatory and Development Authority (IRDA) is an autonomous apex statutory
body which regulates and develops the insurance industry in India. It was constituted by

25. a Parliament of India act called Insurance Regulatory and Development Authority Act, 1999 and
duly passed by the Government of India.
The agency operates its headquarters at Hyderabad, Andhra Pradesh where it shifted
from Delhi in 2001. The Insurance regulatory and Development Authority (IRDA), batted for a
hike in the foreign direct investment (FDI) limit to 49 per cent in the sector from the present 26
per cent.
“I am in favor of hike in the FDI limit for the insurance sector. Unless we go for 49 per cent, we
will not have the kind of capital required to underpin the growth of the industry. This sector
requires a lot of money,’’ IRDA Chairman J. Hari Narayan said on the sidelines of a summit
here.
The Insurance Laws (Amendment) Bill has been pending before Parliament for about four years
as there has been no consensus among political parties on the issue of raising the FDI limit to 49
per cent. Coming under pressure from its allies, the UPA II government, in May this year, had
postponed a decision on raising the FDI limit in the sector to 49 per cent.
Earlier, Mr. Hari Narayan said the IRDA would develop ten standard products in consultation
with industry bodies which could be launched by insurance companies without seeking the
regulatory nod. “We will have to work closely with the Life Insurance Council and the General
Insurance Council to see if we can develop such products,’’ he added.
The insurance regulator said the persistence level was very low in the industry and there was a
need to bring in complete understanding of the market and insurance companies. The persistence
level refers to client retention by insurance companies. He said `Use and File’ would not be in
the general interest of the policy-holders since the persistence ratio was high
History
The IRDA Act, 1999 was passed as per the major recommendation of the Malhotra
Committee report (1994) which recommended establishment of an independent regulatory
authority for insurance sector in India. Later, It was incorporated as a statutory body in April,
2000. The IRDA Act, 1999 also allows private players to enter the insurance sector in India

26. besides a maximum foreign equity of 26 per cent in a private insurance company having
operations in India. It serves as an Authority to protect the interests of holders of insurance
policies, to regulate, promote and ensure orderly growth of the insurance industry and for matters
connected therewith. IRDA role is to protect rights of policy holders & they provides
registration certification to life insurance companies & responsible for renewal, modification,
cancellation & suspension of this registered certificate.
IRDA
The acronym for the Insurance Regulatory and Development Authority of India, it is the apex
body overseeing the insurance business in India. It protects the interests of the policyholders,
regulates, promotes and ensures orderly growth of the insurance in India.
News on IRDA.
IRDA slaps fine of Rs 3.10cr on Bajaj Allianz Life
21-08-2013| Source:PTI
Insurance regulator IRDA today imposed a hefty penalty of Rs 3.10 crore on Bajaj Allianz Life
Insurance for violation of various norms, including those related to early-death claims and group
IRDA formulates new rules for banks to be insurance brokers
Insurance Regulatory Development Authority (IRDA) formulated new set of rules for banks to

27. act as insurance brokers
.
Reliance Life welcomes new IRDA regulations
Reliance Life Insurance Company, a part of Reliance Capital, today welcomed new regulations
announced by IRDA that allows banks to become licensed insurance brokers and sell products of
multiple life
IRDA eases premium payment mode for policyholders
Insurance Regulatory and Development Authority (IRDA) on Wednesday directed all insurance
companies to allow policyholders who are paying premium through the Electronic Clearing
System (ECS
HC directs insurance regulator to issue guidelines on claim
The Bombay High court today directed Insurance Regulator and Development Authority (IRDA)
to issue guidelines to the Insurance companies to come out with a pre-packaged compensation
for 42 ailments

28. Vission:
“The most successful and admired life insurance company, which means that we are the most
trusted company, the easiest to deal with, offer the vest values for money, and easiest the
standards in the industry, In short, “ Them most obvious choice for all. ”
MISSION:-
HDFC standard Life aims to be the top new life insurance company in the market.
This does not just mean being the largest or the most productive company in the market, rather it
is a combination of several things like:
1 Customer Service of the highest order.

29. 2 Value for money for customers.
3 Professionalism in carrying out business.
4 Innovative products to cater to different needs of different costumers
5 Use of technology to improve service standard.
6 Increasing market Share.
VALUES:
• Integrity
• Innovation
• Customer centric.
• People care.
• Team work
OBJECTIVES OF THE
STUDY

30. OBJECTIVES OF THE STUDY:
Main objective:
To know the products of H.D.F.C Life and analyse & interpret the products of H.D.F.C Life
To suggest additions to the current product portfolio.
Sub objective:
1 To find the market share of various life insurance in India.
2 To recognize the popular insurance plans.
3 To showcase the influence of advertising.
4 To suggest ideal policy term and premium for insurance.
5 To showcase the consumers’ willingness to spend on life insurance.

31. 6 To showcase the factors that motivates purchase of insurance policies.
7 To understand the type of company preferred for investment.
8 To understand the awareness level of consumers about unit linked insurance plans
(ULIP’s).
INTRODUCTION TO TOPIC

32. Insurance – An Introduction
Insurance may be described as a social device to ensure protection of economic value of life and
other assets. Under the plan of insurance, a large number of people associate themselves by
sharing risks attached to individuals. The risks, which can be insured against, include fire, the
perils of sea, death and accidents and burglary. Any risk contingent upon these, may be insured
against at a premium commensurate with the risk involved. Thus collective bearing of risk is
insurance.
• A system under which individuals, businesses, and other organizations or entities, in
exchange for payment of a sum of money (called a premium), are guaranteed

33. compensation for losses resulting from certain perils under specified conditions in a
contract.
• A contract that provides compensation for specific losses in exchange for a periodic
payment. An individual contract is known as an insurance policy, and the periodic
payment is known as an insurance premium.
Definitions:
1.General definition:
In the words of John Magee, “Insurance is a plan by themselves which large number of people
associate and transfer to the shoulders of all, risks that attach to individuals.”
2.Fundamental definition:
In the words of D.S. Hansell, “Insurance accumulated contributions of all parties participating in
the scheme.”
3.Contractual definition: In the words of justice Tindall, “ Insurance is a contract in which a
sum of money is paid to the assured as consideration of insurer’s incurring the risk of paying a
large sum upon a given contingency.”
Characteristics of Insurance:
♦ Sharing of risks
♦ Cooperative device
♦ Evaluation of risk
♦ Payment on happening of a special event
♦ The amount of payment depends on the nature of losses incurred.

34. ♦ The success of insurance business depends on the large number of people insured against
similar risk.
♦ Insurance is a plan, which spreads the risk and losses of few people among a large number of
people.
♦ The insurance is a plan in which the insured transfers his risk on the insurer.
♦ Insurance is a legal contract which is based upon certain principles of insurance which
includes, utmost good faith, insurable interest, contribution, indemnity etc.
♦ The scope of insurance is much wider and extensive.
Functions of Insurance:
Primary functions:
1. Provide protection:- Insurance cannot check the happening of the risk, but can provide for the
losses of risk.
2. Collective bearing of risk: - Insurance is a device to share the financial losses of few among
many others.

35. 3. Assessment of risk: - Insurance determines the probable volume of risk by evaluating various
factors that give rise to risk.
4. Provide certainty: - Insurance is a device, which helps to change from uncertainty to
certainty.
5. Tax benefit :- Insurance is a source which reduce tax.
Secondary functions:-
1. Prevention of losses: - Insurance cautions businessman and individuals to adopt suitable
device to prevent unfortunate consequences of risk by observing safety instructions.
2 .Small capital to cover large risks: - Insurance relives the businessman from security
investment, by paying small amount of insurance against larger risks and uncertainty.
3. Contributes towards development of larger industries.
Insurance can be defined as assurance for uncertainty. Insurance is about
something going wrong. Its’ often about things going right. One of the Wonders of

36. human nature is that we never believe anything can actually go wrong.
The insurance sector in India has come a full circle from being an open
competitive market to nationalization and back to liberalized market again.
Tracking the development in Indian insurance sector reveals the 360 degree turn
witnessed over a period of almost two centuries.
WHY WE NEED INSURANCE
Wealth Children’s Marriages
Creation and Education

37. Dying too soon Living too long
Living Death Gap
Why we need insurance? For passing a happy life we need to full fill some basic needs. Without
fulfill these needs no one can survive, these basic needs these are:
• Air
• Water
• Food
• Cloths
• Shatter
• Safety
For making the future safe a sensible person invest their money or take insurance plans to cover
themselves or their family members and dependents. You don’t know when a casualty is happen
and if you are not having any safety cover what will you do and what will happen then.
PRODUCTS OF H.D.F.C LIFE

38. Each of us leads a unique life and so has unique needs. HDFC Standard life offers a range of
products and invites you to choose the one that suits you the best.
PLAN BENEFIT
SAVING PLANS:
Endowment Assurance Plan Life Insurance with savings
Unit linked endowment plan Life insurance and saving with
Choice of investment funds

39. Children’s plan Financial security for your child
Unit linked youngster plus plan Financial security for your child with
Choice of investment funds
Money back plan Life insurance with savings.
INVESTMENT PLANS:
Single premium whole of life plan Investment with life insurance
PROTECTION PLANS
Term assurance plan Life insurance at an affordable price
Loan cover term assurance plan Life insurance customized for home loans
RETIREMENT PLANS:
Personal pension plan Saving for retirement
Unit link pension plan Retirement saving with a choice of
investment funds.
Young star plan:
Get maximum advantage of the HDfC YoungStar Super Premium with flexible premium
payments, option to customize your plan according to your child's needs, varied choice of funds
to save in and security of your child even after your death. Here are some of the features of the
plan:
• Level of Protection: You have the flexibility to choose any amount as the "Sum
Assured" in multiples its age dependent. Less than 45 10 x above 45 7 x annual premium.
You can choose between Life Option and Life & Health Option.

40. • Regular Premiums: Minimum premium is Rs. 15,000 with no limits on maximum
premiums. Premiums are to be paid annually only.
• Benefit Payment Preference: You can choose from plan options of 'Save Benefit'
or 'Save-n-Gain Benefit'.
• Policy Term: The minimum policy term is 10 years and maximum is 20 years. The
term period of 11 to 14 years is not available.
• Age Limit: The minimum age at entry for the Life Option is 18 years and maximum
entry age is 65 years. Maximum age at maturity is 75 years. Please refer to the product
brochure for term and age limits for other Plan Options.
Here are a few other features of the HDFC SL Youngstar Super Premium:
• Save Benefit: In case of your unfortunate demise or critical illness, this plan will pay
the Sum Assured to your child (Beneficiary). Your family need not pay any further
premiums. With Save benefit option of
• HDFC SL YoungStar Super Premium, 100% of all the original regular premiums towards
your policy will be paid. Any Death Benefit or Critical Illness cover will terminate
immediately. On maturity, the beneficiary of the plan will receive the Fund Value.
• Flexibility for customization of the plan: You can determine the level of
protection you need and choose the sum assured accordingly. Investment funds can be
chosen as per your risk and return appetite.
• No Medical tests required: You may not be required to go for elaborate medical
tests. Filling a short Medical Questionnaire may suffice. Please refer to the product
brochure or contact your Relationship Manager for further details.
• Choice of funds: Select from a choice of 5 funds with different equity and debt
exposures.
Do you want to change your Investment Fund Choices at any point? Here are your options.
• Switching: You can move your accumulated funds from one fund to another at any given
time.
• Premium Redirection: You can pay your future premiums with a different selection of
funds, as per your requirement.
Features:

41. • Fulfill and protect your child's dream and future needs through your financial support.
• Choose any amount as the 'Sum Assured' in multiples of 10 to 40 times of the annual
premium.
• No elaborate medical procedures required.
Benefits:
• Create a customized plan depending on the level of protection your child needs.
• Choose from two insurance cover options along with benefit payment preference.
• Avail tax benefits are offered under section 80C and 10(10D) of the Income Tax Act,
1961
HDFC Life Click 2 Protect:
Looking for an easier way to insure yourself and secure your loved ones happiness? You know
that the solution is a term insurance plan and you seek a plan that is convenient to buy and is
affordable. Your search ends here. HDFC Life is happy to present the perfect plan for your
protection needs HDFC Life Click 2 Protect! HDFC Life Click 2 Protect is a term insurance
plan. This plan provides for a payment of a lump sum in the event of your unfortunate death
during the policy term.

42. Features:
Advantages:
• Buy this plan at click of button , anytime & anywhere
• High cover at a very nominal cost.
• Flexibility to choose the Sum Assured and policy term
• Attractive premium rates for Non tobacco user and those with healthier lifestyle.
• Tax benefits under sections 80Cand 10(10D) of Income Tax Act, 1961.
Why choose this product?
' With profits ' Insurance plan
Choice of premium payment options: monthly, quarterly, half-yearly and yearly
Lump sum payment to your family in case of your unfortunate demise
Choose your Maturity Benefit Option:
• Enhanced Cash Option
• Enhanced Cover Option

43. Sampoorn Samridhi Insurance Plan:
HDFC Life Sampoorn Samridhi Insurance Plan is a 'With Profits' insurance plan that offers
financial protection to your family when they need it the most. Now ensure a life of respect and
dignity for you and your family even in your absence!
Features:
• Bonuses: Reversionary bonus will be declared. Once added they are guaranteed to be
payable on earlier death or maturity. Terminal and interim bonus if declared will be also
added.
• Term & Premiums: Minimum policy term is 5 years. Maximum policy term is 40
years. Minimum entry age is 18 years. Maximum entry age is 60 years. Maximum age at
maturity is 75 years. The premiums depend on the policy term chosen. You can pay
premium annually, half yearly, quarterly or monthly. Minimum annual premium is Rs.
12000 for annual, Rs.6000 for Half yearly, Rs. 3000 for Quarterly and Rs. 1000 for
monthly for term of 10 years and above.
• Maturity Benefit: Choice of Maturity Options: Enhanced Cover Option that offers
life cover till 99 years or Enhanced Cash Option that offers Enhanced Terminal Bonus on
maturity.
• High Sum Assured Discount: Get 5% discount on basic premium for Sum assured
of 5 Lakhs and above.
Benefits:
• Financial protection to your loved ones by way of a lump sum payment in case of your
unfortunate demise during the policy term. Sum assured plus attached bonuses will be

44. paid to the nominee. In case of death due to accident, an additional Sum Assured will be
paid. The policy will terminate and no further benefits will be payable.
• Choice of Maturity Benefit Option- on survival till maturity , you can choose maturity
benefit option:
o
o Enhanced Cash Option: Sum Assured + Reversionary Bonus +any interim
bonus + any terminal bonus + Enhanced Terminal Bonus. Policy terminates and
no further benefits are payable.
o Enhanced Cover Option: Sum Assured + Reversionary Bonus + any Interim
bonus + any Terminal Bonus payable on maturity + Additional Sum Assured on
unfortunate death of life assured up to age of 99 years.
New Money back plan
On completion of every 4 years, get a percentage of your Sum Assured as a cash payout
Protection to your family by way of lump sum paymentof SUM Assured + Bonuses in case of
unfortunate demise within the policy term, above the payouts already made before the death
Large Sum Assured discount of 5% on premium for Sum Assured of Rs 5 Lakhs and above
Want added financial security for your loved ones?

45. Secure the future of your loved ones by providing for their financial security.
(This will be redirected to the HDFC Term Assurance Plan)
(Can be used to cross-sell other products also)

46. LITERATURE REVIEW
The insurance sector is currently in a state of some uncertainty and companies are increasingly
conscious of the need to maintain a competitive edge over their commercial rivals while at the
same time getting maximum benefits from in-house resources (Abell, 1998).
The insurance market is having a tough time. Costs are rising as risk become tougher. But the
best risks see high costs of insurance as a reason to leave the market and insure them. The market
cycle has been broken. The key now is to understand and manage risks. Alternative risk transfer

47. techniques could be an answer. But finance directors need to understand the whole issue of risk
and risk management much better (Venezian, 2006).
The advanced countries have developed the insurance system and made it effective and
mandatory – as a result the loss of lives and property is comparatively less. In India, most of the
losses suffered in natural disasters are not insured, for reasons such as lack of purchasing power,
lack of interest in insurance, theory of karma attitude and ignorance of availability of such
covers. Quite large numbers of agencies provide the insurance cover and foreign insurance
companies have already ventured in such areas. This implies that the commercial and private
sector can also play an essential role in disaster mitigation (Atmanand, 2003).
The practice of insuring essentially involves the determination and assignment of risk to
individuals. Such determinations are made almost exclusively on the basis of statistical models.
As such, the determination of an individual's risk in relation to a particular form of insurance,
and thus ultimately to the determination of the cost and availability of that insurance for the
individual, is made in relation to her inclusion in certain statistical groups. However, a number of
questions, both practical and philosophical, can be raised about the way in which an individual is
assessed upon the basis of such statistical modelling. In this paper, I explore some of these issues
in relation to questions of fairness. I begin by examining the basic structure of statistical risk
assessment for insurance purposes. I argue that the underlying ethical concern involved with
such cases involves the manner in which the attributes of the statistical groups used for insurance
purposes can be said to fairly represent the individual qua individual. As such, I go on to explore
the general philosophical issues involved in applying statistical models to individuals and the
fairness of using such applications to make determinations about individuals for insurance
purposes(Palmer, 2007).
The insurance industry often experiences criticism for unethical and frequently illegal activities.
This document suggests that insurers operate in an uncompetitive environment and that the
nature of insurer operations leads otherwise ethical individuals in the direction of questionable
ethical decisions throughout the operations of an insurance company.(Barrese, 2007).

48. Explains that derivatives sellers see insurance companies, because of their representation of
some of the biggest financial groups, as a prime target worldwide. Goes on to show the part
played by insurance companies using derivates. States that there are only 3 areas where options,
generally, can be used in the context of investment management for the insurance companies:
use by individual fund managers of stock options; transformation of wholesale products into
retail products; and the use of options at balance sheet level. Summarizes that large insurance
companies need to fit use of equity and bond derivatives within understandable policies
(Mariathasan, 2000).
In study the influence of five critical factors on service quality in the insurance sector. Having
studied the influence of these critical factors, an attempt has been made to obtain a generic
solution to enhance the quality of service by proposing a holistic framework of learning
organization. As globalization and IT revolution have made the insurance sector highly
knowledge-intensive, customer expectations and perceptions have also grown exponentially.
Hence, this research is timely and goal-focused (Rodrigues, 2007).
Discrimination by the insurance industry against the disabled and victims of violence in the
recent cases. Covers suggested changes to the law, outlining the benefits and pitfalls. Identifies
genetics and the use of the Internet as new areas for concern and suggests potential legislation in
these cases (Kleiner, 1999).
Reporting on ongoing research within a major life insurance company, the difficulties in
managing a sales force are examined. Contradictions and strains created by the mode of
management, particularly affecting the sales force and customers, are explored. It is argued that a
“professionalization of selling”, brought about by a combination of strategic human resource
management and government legislation (in the form of the Financial Services Act) will
considerably improve the conduct and quality of selling in the future (Morgan, 1990).
The major results are that although the factors driving the decisions on health insurance
participation are basically the same for rural and urban citizens, the participation levels are quite
different. The major difference is that urban SHI has higher coverage and urban citizens have
higher income, resulting in a much larger urban medical expenditure (Yan, 2010).

49. Health insurance in India has shown little development. It has not been able to evoke enthusiasm
among Indian insurers. Consequently, several reports on Indian health care insurance have been
produced. The purpose of this paper is to offer a review of this matter (Gupta, 2007).
Insurance companies are now putting into place amended managerial systems. The marketing
function is undergoing changes in responsibilities in all these companies. While most companies
have key managers who have visions of how markets can be reshaped to give distinct
competitive advantages, effecting such changes within existing operating constraints poses major
challenges(Johne, 1993).
Insurance liabilities are converging with capital markets products (e.g. derivatives and
securitizations), thereby increasing the demand for integrated asset and liability management
strategies. This article compares the value-added by an integrative approach-based on scenario
optimization modelling-relative to traditional risk management methods. The authors present
some examples of products offered by the insurance industry in Italy, and apply the results of the
analysis to the design of competitive insurance policies (Zenios, 1993).
The practical application of enterprise mobilization is the use of a wireless network system and
equipment to allow employees to update information on demand. This study employs a case
study method, using in-depth interviews of 29 corporate managers and experts to understand the
current state of mobilization in the life insurance industry. The study suggests a conceptual
framework for mobilization in the life insurance industry, and formulates possible research
propositions incorporating a number of variables. The study also suggests a total of ten key
success factors for the implementation of mobilization in the life insurance industry (Luarn,
2003).
A study conducted which discusses issues common to the pricing of both insurance and finance.
These include increasing collaboration between insurance companies and banks, deregulation of
various insurance and finance markets, integrated risk management, and the emergence of
financial engineering as a new profession. Rather than attempting to give an exhaustive
exposition of the issues at hand, the author highlights developments that, from a methodological
point of view, offer new insight into the comparison of pricing mechanisms between insurance
and finance (Embrechts, 1993).

50. Independent agent insurers are found to be cost inefficient compared to insurers with other
distribution systems, but the independent agent insurers have better revenue efficiency compared
to their long counterpart, the exclusive agent insurers. This study also documents that the direct
writing system provides higher cost and revenue efficiencies than other distribution systems,
although their efficiencies have been deteriorating during the same time period (Bin Kang,
2009).
The article describes the forces that drive financial innovation in the insurance industry, as it
relates to the convergence between insurance and capital markets. The authors base their analysis
on general principles of supply and demand underlying financial intermediation and innovation,
e.g., regulation and taxation. They also provide practical examples from both the capital and
insurance markets. Finally, the article addresses the costs and benefits of capital markets-based
insurance solutions and inherent challenges to future innovation (Laster and Raturi, 1993).

51. RESEARCH METHODOLOGY
RESEARCH DESIGN
A Research Design is the framework or plan for a study which is used as a guide in collecting
and analyzing the data collected. It is the blue print that is followed in completing the study. The
basic objective of research cannot be attained without a proper research design. It specifies the
methods and procedures for acquiring the information needed to conduct the research effectively.

52. It is the overall operational pattern of the project that stipulates what information needs to be
collected, from which sources and by what methods.
Research : Research is a process of steps used to collect and analyze information to increase
our understanding of a topic or issue. It consists of three steps: Pose a question, collect data to
answer the question, and present an answer to the question
In the broadest sense of the word, the definition of research includes any gathering of data,
information and facts for the advancement of knowledge.
Research in more detail as "a studious inquiry or examination; especially : investigation or
experimentation aimed at the discovery and interpretation of facts, revision of accepted theories
or laws in the light of new facts, or practical application of such new or revised theories or laws".
Research Design used:
Descriptive research design is used in this Descriptive research, is used to describe
characteristics of a population or phenomenon being studied. It does not answer questions about
how/when/why the characteristics occurred. Rather it addresses the "what" question (What are
the characteristics of the population or situation being studied The characteristics used to
describe the situation or population are usually some kind of categorical scheme also known as
descriptive categories. For example, the periodic table categorizes the elements. Scientists use
knowledge about the nature of electrons, protons and neutrons to devise this categorical scheme.
We now take for granted the periodic table, yet it took descriptive research to devise it.
Descriptive research generally precedes explanatory research.
TITLE OF THE STUDY
“ A Study On Products Of HDFC Life”.
STATEMENT OF THE PROBLEM

53. This study was undertaken to identify which type of insurance plans HDFC-SL should market to
particular market segments in India. A survey was undertaken to understand the preferences of
Indian consumers with respect to insurance. While marketing policies the sole duty of an
advisor/ agent is to provide insurance plans as per customer requirements.
In effect plans (insurance products) should be flexible to suit individual requirements. This
research tries to analyze some key factors which influence the purchase of insurance like the
term of the policy, the type of company, the amount of annual premium payable (capacity and
willingness to spend), risk taking ability and the influence of advertising. Solutions and
recommendations are made based on qualitative and quantitative analysis of the data.
TYPE OF DATA COLLECTED
There are two types of data used. They are primary and secondary data. Primary data is defined
as data that is collected from original sources for a specific purpose. Secondary data is data
collected from indirect sources.
PRIMARY SOURCES
These include the survey or questionnaire method, telephonic interview as well as the personal
interview methods of data collection.
SECONDARY SOURCES
These include books, the internet, company brochures, product brochures, the company website,
competitor’s websites etc, newspaper articles etc.
SAMPLING
Sampling refers to the method of selecting a sample from a given universe with a view to draw
conclusions about that universe. A sample is a representative of the universe selected for study.
Convenience sampling is used in exploratory research where the researcher is interested in
getting an inexpensive approximation of the truth. As the name implies, the sample is selected
because they are convenient. This non probability method is often used during preliminary
research efforts to get a gross estimate of the results, without incurring the cost or time required

54. to select a random sample.
SAMPLE SIZE
The sample size for the survey conducted was 130 .
SAMPLING TECHNIQUE
Convenience sampling technique was used in the survey conducted.

55. ANALYSIS
INTERPRETATION
&
FINDINGS
ANALYSIS & INTERPRETATION
“A Study On Products of HDFC LIFE”

56. Q1. AGE GROUP OF SURVEYED RESPONDENTS
TABLE 1: AGE GROUP OF SURVEYED RESPONDENTS.
Age group No. of Respondents
18 - 25 years 62
26 - 35 years 33
36 - 49 years 22
50 - 60 years 12
More than 60 years 2
47%
25%
17%
9%
2%
18 - 25 years
26 - 35 years
36 - 49 years
50 - 60 years
More than 60 years
Figure 1
AGE GROUP OF SURVEYED RESPONDENTS.
INTERPRETATION:
From the above chart we find that 47% of the respondents fall in the age group of 18 – 25 years,
25% fall in the age group of 26 – 35 years and 17% fall in the age group of 36 – 49 years.
Therefore most of the respondents are relatively young (below 26 years of age). These
individuals could be induced to purchase insurance plans on the basis of its tax saving nature and

57. as an investment opportunity with high return.
Q2. GENDER CLASSIFICATION OF SURVEYED RESPONDENTS
Table 2GENDER CLASSIFICATION OF SURVEYED RESPONDENTS
Particulars No. of Respondents
Male 113
Female 17

58. Gender of the respondents
17
113
0
20
40
60
80
100
120
Male Female
No.ofrespondents
Male
Female
Fig
ure 2: GENDER CLASSIFICATION OF SURVEYED RESPONDENTS
INTERPRETATION:
From the above chart we find that113 male respondandts prefer insurance and only 17 female prefer to
insurance among 140 respondandts .In these we can anlaysis the female member is less aware in regards
of insurance policy
Q3. CUSTOMER PROFILE OF SURVEYED RESPONDENTS.
TABLE 3 CUSTOMER PROFILE OF SURVEYED RESPONDENTS
Customer profile No. of respondents
Student 30
Housewife 3
Working Professional 55
Business 24
Self Employed 12
Government service employee 7

59. 23%
2%
43%
18%
9%
5%
Student
Housewife
Working Professional
Business
Self Employed
Government service
employee
Figure 3 CUSTOMER PROFILE OF SURVEYED RESPONDENTS
INTERPRETATION:
From the above chart it can clearly be seen that 43% of the respondents are working
professionals, 23% are students and 18% are into business. Therefore the target
market would be working individuals in the age group of 18 – 25 years having
surplus income, interested in good returns on their investment and saving income
tax.
Q4. NO OF LIFE POLICIES PURCHASED BY CUSTOMER?
: Table 4 NO OF LIFE POLICIES PURCHASED BY CUSTOMER.

60. LIFE INSURER NUMBER OF POLICIES
HDFC STANDARD LIFE 5
BIRLA SUN LIFE 4
AVIVA LIFE INSURANCE 8
BAJAJ ALLIANZ 9
LIC 64
TATA AIG 8
ICICI PRUDENTIAL 14
ING VYSYA 7
BHARTI AXA 3
OTHERS 2
4%
3%
6%
7%
53%
6%
11%
6%
2% 2%
HDFC STANDARD LIFE
BIRLA SUN LIFE
AVIVA LIFE INSURANCE
BAJAJ ALLIANZ
LIC
TATA AIG
ICICI PRUDENTIAL
ING VYSYA
BHARTI AXA
OTHERS
Figure 4 NO OF LIFE POLICIES PURCHASED BY CUSTOMER.
INTERPRETATION:

61. In India, the largest life insurance company is Life Insurance Corporation of India. It has been in
existence in India since 1956 and is completely owned by the Government of India.
Today the organization has grown to 2048 offices serving 18 crore policies and has a corpus of
over 340000 crore I
Q5. ANNUAL PREMIUM PAID BY INDIVIDUALS FOR LIFE INSURANCE?
TABLE 5: ANNUAL PREMIUM PAID BY INDIVIDUALS FOR LIFE INSURANCE.
Premium paid (p.a.) No. of respondents
Rs. 5000 – Rs. 10000 45
Rs. 10001 - Rs. 15000 29
Rs. 15001 - Rs. 24900 19
Rs. 25000 - Rs. 50000 12
Rs. 50001 - Rs. 60000 5
Rs.60001 – Rs. 80000 2
Rs. 80001 - Rs. 100000 3

62. 39%
25%
17%
10%
4% 2% 3%
Rs. 5000 - Rs. 10000
Rs. 10001 - Rs. 15000
Rs. 15001 - Rs. 24900
Rs. 25000 - Rs. 50000
Rs. 50001 - Rs. 60000
Rs.60001 - Rs. 80000
Rs. 80001 - Rs. 100000
Figure 5 ANNUAL PREMIUM PAID BY INDIVIDUALS FOR LIFE INSURANCE
INTERPRETATION:
From the above chart we find that, 39% of the respondents surveyed pay an annual premium less
than Rs. 10001 towards life insurance. 25% of the respondents pay an annual premium less than
Rs. 15001 and 17% pay an annual premium less than Rs. 25000. Hence we can safely say that
HDFC-SL would be able to capture the market better if it introduced products/plans where the
minimum premium starts at Rs. 5000 p.a.

63. Q6. What kind of insurance policy would suit you best in your current stage of life?
TABLE 6: POPULAR LIFE INSURANCE PLANS of HDFC LIFE
Type of Plan No. of Respondents
Term Insurance Plans 53
Endowment Plans 62
Pension Plans 8
Child Plans 4
Tax Saving Plans 10
39%
45%
6%
3%
7%
Term Insurance Plans
Endowment Plans
Pension Plans
Child Plans
Tax Saving Plans
Figure 6
POPULAR LIFE INSURANCE PLANS of HDFC LIFE

64. INTERPRETATION:
From the above chart we can clearly see that 45% of the respondents hold endowment plans and
39% of the respondents hold term insurance plans. Endowment plans are very popular and serve
two purposes – life cover and savings.
If the policy holder dies during the policy term nominee gets death benefit I.e, sum assured and
accumulated bonus. On survival the policy holder receives the survival benefit with a bonus
Q7. AWARENESS OF UNIT LINKED INSURANCE PLANS?
TABLE 7: AWARENESS OF UNIT LINKED INSURANCE PLANS
Awareness of Unit Linked Plans No. of Respondents
Yes 74
No 56
57%
43%
Yes
No
Figure 7 AWARENESS OF UNIT LINKED INSURANCE PLANS

65. INTERPRETATION:
From the chart given above we find that 57% of the respondents are aware of unit linked life
insurance plans and 43% are not aware of such plans. These plans should be promoted through
advertising. The company can advertise through television, radio, newspapers, bill boards and
pamphlets. This would increase awareness and arouse curiosity in the minds of the consumer
which would enable the company to market its products more effectively.
Unit – linked plans are those where the benefits are expressed in terms of number of units and
unit price. They can be viewed as a combination of insurance and mutual funds. The number of
units a customer would get would depend on the unit price when they pay the premium.
Q8. How much would you be willing to spend per annum if you were to go for an investment/
insurance plan?
TABLE 8: . CONSUMER WILLINGNESS TO SPEND ON LIFE INSURANCE PREMIUM
Willingness to spend on premium No. of respondents Percentage
Less than Rs. 6000 20 15%
Rs. 6001 - Rs. 10000 35 27%
Rs. 10001 - Rs. 25000 54 41%
Rs. 25001 - Rs. 50000 20 15%
Rs. 50001 - Rs. 100000 2 2%

66. 0
10
20
30
40
50
60
Less than Rs.
6000
Rs. 6001 - Rs.
10000
Rs. 10001 - Rs.
25000
Rs. 25001 - Rs.
50000
Rs. 50001 - Rs.
100000
Figure 8 CONSUMER WILLINGNESS TO SPEND ON LIFE INSURANCE PREMIUM
INTERPRETATION:
From the above graph, we can clearly see that 41% of the respondents would be willing to spend
between Rs. 10001 – Rs. 25000 for life insurance. 27 % would be willing to spend between Rs.
6001 – Rs. 10000 per annum. Only 15% would be willing to spend more than Rs. 25000 per
annum as life insurance premium.

67. Q9. . Which according to you is an ideal policy term? (Number of years you would be willing to
pay premium
TABLE 9: IDEAL POLICY TERM
Ideal policy term No. of respondents
3 - 5 years 25
6 - 9 years 20
10 – 15 years 46
16 – 20 years 18
21 – 25 years 12
26 – 30 years 2
More than 30 years 1
Whole life Policy 6
19%
15%
35%
14%
9%
2%
1%
5%
3 - 5 years
6 - 9 years
10 - 15 years
16 - 20 years
21 - 25 years
26 - 30 years
More than 30 years
Whole life Policy
Figure 9 IDEAL POLICY TERM

68. INTERPRETATION:
From the chart given above it can be seen that 35% of respondents prefer a policy term of 10 –
15 years, 19% prefer a term of 3 – 5 years and 15% prefer a term of 6 – 9 years. This means that
HDFC-SL could introduce more plans wherein the premium paying term is less than 15 year.
Q10. What motivates you to purchase insurance/ investment plans?
TABLE 10; FACTORS THAT MOTIVATE RESPONDENTS TO PURCHASE INSURANCE.
Parameter No. of Respondents
Advertisements 17
High returns 42
Advice from friends 23
Family responsibilities 45
Others 8

69. 13%
31%
17%
33%
6%
Advertisements
High returns
Advice from friends
Family responsibilities
Others
Figure 10; FACTORS THAT MOTIVATE RESPONDENTS TO PURCHASE
INSURANCE.
INTERPRETATION:
From the chart above it can be seen that 33% of the respondents purchase life insurance to secure
their families, 33% take life insurance to get high returns, 17% purchase insurance on the advice
of their friends and 13% purchase insurance because of the influence of advertisements.
.

70. Q11 In which kind of company would you prefer to make a purchase of insurance?
TABLE 11: PREFERRED COMPANY TYPE OF THE RESPONDENTS
Type of Company No. of Respondents Percentage
Government Owned
Company 67 47%
Public Limited Company 33 23%
Private Company 26 18%
Foreign Company 17 12%
0
10
20
30
40
50
60
70
80
Government Owned
Company
Public Limited
Company
Private Company Foreign Company
Figure 11: PREFERRED COMPANY TYPE OF THE RESPONDENTS
INTERPRETATION:
From the graph above we find that 47% of the respondents preferred to purchase insurance from
a government owned company, 23% of the respondents preferred to purchase insurance from a
public limited company and only 12% of the respondents preferred a foreign based company.
HDFC-SL could be promoted as an essentially “Indian” company with a foreign tie up. Its tie up
with HDFC, a trusted name in an Indian industry, could be used to give a “push” to its products/
services
Q12. Typically what kind of returns would you look at from your investments? (Please note:

71. Higher returns involve greater risk)
TABLE 12: MINIMUM EXPECTED RETURN ON INVESTMENT
Expected Returns No. of respondents
Less than 5% 3
5% - 10% 20
11% - 15% 22
16% - 20% 23
21% - 25% 22
26% - 30% 13
31% - 40% 11
41% - 50% 7
More than 50% 10

72. 2%
15%
17%
18%
17%
10%
8%
5%
8%
Less than 5%
5% - 10%
11% - 15%
16% - 20%
21% - 25%
26% - 30%
31% - 40%
41% - 50%
More than 50%
Figure 12: MINIMUM EXPECTED RETURN ON INVESTMENT
INTERPRETATION:
From the above chart it can clearly been seen that 18% of the respondents would like 16 – 20%
returns, 17% would like returns between 21 – 25% and 17% would like returns of 11 – 15% on
their investments. Therefore the average return on investment should be at least 16 – 20 %.

73. SUGGESTIONS
FOR
IMPROVENMENT

74. SUGGESTIONS FOR IMPROVEMENT:
1 Advertise about the company and its products – it motivates individuals to purchase
insurance.
2 Create a positive perception about insurance.
3 Speak about the good features a plan offers like high returns, life cover, tax benefits,
indexation, accident cover while prospecting customers.
4 Try to sell the product/plan which the consumer requires and not the plan where the
advisors benefit is higher.
5 Improve the efficiency in operations.
6 Bring out policies with small premiums payable for short periods of time – Rs. 5000 –
Rs. 10000 per annum for 10 years.
7 Attract the youth of India with higher returns on investment as returns are the motivating
factor which influence purchase of insurance.
8 Promote insurance in colleges and corporate houses.
9 Promote HDFC-SL as an Indian Company to build trust.
10 HDFC-SL could have a brand ambassador or a mascot to promote its services.
11 Should have partial withdrawals from the first year onwards.
12 Tap the rural market where there is large potential.
13 HDFC diversify its product portfolio.

75. CONCLUSION

76. HDFC-SL is one of the world’s largest and oldest life insurance companies. It has businesses
spread out across the globe. It came to India in the year 2002. It currently ranks number 2
amongst the insurers in India (Source: annual premium provided by the company)
The company faces a large amount of competition. To sustain itself it must promote its products
through advertising and improve its selling techniques. Consumers must be aware of the new
plans available at HDFC-SL.
The medium of advertising used could be television since most of its competitors use this tool to
promote their products. The company must be promoted as an Indian company since consumers
seem to have more trust in investing in Indian firms.
The unit linked concept must be specifically promoted. The general perception of life insurance
has to change in India before progress is made in this field. People should not be afraid to invest
money in insurance and must use it as an effective tool for tax planning and long term savings.
HDFC-SL could tap the rural markets with cheaper products and smaller policy terms. There are
individuals who are willing to pay small amounts as premium but the plans do not accept
premiums below a certain amount. It was usually found that a large number of males were
insured compared to females. Individuals below the age of 30 (mostly male) were interested in
investment plans. This was a general conclusion drawn during prospecting clients

77. LIMITATIONS OF THE STUDY

78. LIMITATIONS OF THE STUDY
1 The study was limited only to the District areas.
2 The study was conducted only for a short period of eight weeks.
3 The study is based on the assumption that information provided by the respondents is
true.
4 Respondents are less aware for insurance sector
5 Lack of willingness to adopt insurance policy
6 Most of the respondents whom my approach where already having lic policy, they were not
wiiling to listen about hdfc plan

79. BIBLIOGRAPHY

80. BIBLIOGRAPHY
1 “Products and Services.” HDFC-SL. <http://www.hdfcinsurance.com>.
2 “Historical perspective.” <http://www.wikipedia.com>.
3 Regulatory body “<www.irda.com.in>
4 “Overview." Indiacore. <http://www.indiacore.com>.
5 “Reforms." Wikipedia. <http://www.wikipedia.com>.
6 “Unit Linked Plans." Life insurance Corporation of India. <http://www.lic.com>.
7 “Stock price of HDFC-SL." Money Control. <http://www.money control.com>.
“Unit Linked Plans." Tata aig. <http://www.tataaig.com>.
8 “Life Insurance." Bajaj allianz. <http://www.bajajallianz.com/
9 BagicCorp/index.jsp>.
10 “Life Insurance." ICICI Prudential. <http://www.icici.prulife.com>.
11 Sumathi S., and Saranavel P. 2nd ed. New Delhi: Vikas Publishsing House, 2003. 85-
172.
12 “Convenience Sampling.” Statpac.<http://www.statpac.com>.
13 “Business standard” for data collection

81. BOOKS AND JOURNALS:-
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4. Financial Accounting Standards Board, “Agenda of the meeting of the Financial Crisis
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5. Hoogervorst, H. (2002), “Learning from the Asian Crisis”, Address to the International
Monetary Fund and Financial Committee, Washington, D. C.
6. Hopwood A.G., “The economic crisis and accounting: Implications for the research
community”, Accounting, Organizations and Society, Volume 34, Issues 6-7, Pages 797-802,
August-October 2009
7. Laux C., Leuz C., “The crisis of fair-value accounting: Making sense of the recent debate”,
Accounting, Organizations and Society, Volume 34, Issues 6-7, Pages 826-834, August-October,
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83. QUESTIONNAIRE

84. QUESTIONNAIRE
Q1. Age group.
1 18 – 25 years
2 26 – 35 years
3 36 – 49 years
4 50 – 60 years
5 Above 60 years
Q2. Classification of Gender regarding awareness of insurance policies.
Male
Female
Q3. Profile of respondent.
1 Student
2 Housewife
3 Working Professional
4 Business
5 Self – Employed

85. 6 Government Service employee
Q4. If yes which company/ company’s insurance policies do you hold?
1 HDFC Standard Life
2 Birla Sun Life
3 Aviva Life Insurance
4 Bajaj Allianz
5 LIC
6 Tata AIG
7 ICICI Prudential
8 ING Vysya
9 Bharti Axa
10 Others (specify name)
Q5. What is the approximate premium paid by you annually (in Rupees)?
1 Rs. 5000 – Rs. 10000
2 Rs. 10001 – Rs. 15000
3 Rs. 15001 – Rs. 24900
4 Rs. 25000 – Rs. 50000
5 Rs. 50001 – Rs. 6000
6 Rs. 60001 – Rs. 80000
7 Rs. 80001 – Rs. 100000
8 More than Rs. 100000 ( specify premium)
Q6. What kind of insurance policy would suit you best in your current stage of life?
1 Life Insurance
2 Life Insurance and Investment Plans
3 Pension Plans
4 Child Plans
5 Tax saving plans
Q7. Are you aware of the new unit linked insurance plans in the market?
1 Yes
2 No

86. Q8. How much would you be willing to spend per annum if you were to go for an investment/
insurance plan?
1 Less than Rs. 6000
2 Rs. 6001 – Rs. 10000
3 Rs. 10001 – Rs. 25000
4 Rs. 25001 – Rs. 50000
5 Rs. 50000 – Rs. 100000
6 More than Rs. 100000
Q9. Which according to you is an ideal policy term? (Number of years you would be willing to
pay premium)
1 3 to 5 years
2 6 to 9 years
3 10 to 15 years
4 16 to 20 years
5 21 to 25 years
6 26 to 30 years
7 More than 30 years
8 Whole life policy
Q10. What motivates you to purchase insurance/ investment plans?
1 Advertisements
2 High Returns
3 Advice from friends
4 Family responsibilities
5 Others (specify)
Q11. In which kind of company would you prefer to make a purchase of insurance?

87. 1 Government owned company
2 Public Limited Company
3 Private Company
4 Foreign based company
Q12. Typically what kind of returns would you look at from your investments? (Please note:
Higher returns involve greater risk)
1 Less than 5%
2 5% - 10 %
3 11% - 15 %
4 16% - 20 %
5 21% - 25%
6 26% - 30%
7 31% - 40%
8 41% - 50%
9 More than 50%
Personal Details:
Name:
Phone:
Address
Gender:
Male
Female